Close on the heels of STAR India making some key developments in its Ad Sales function as reported by exchange4media last week, Sameer Nair, COO, STAR India, speaking with select media on Tuesday, formally announced the network’s new ad rate structure. STAR has also published its rate card on the Internet, thus emphasizing on the transparency of its operations. However, discounts will be offered to clients with volume buys and established spend patterns.
The significant aspect here is that advertisers will now have an option of advertising on all the eight channels of the STAR network at the same time based on the new ad rates. Nair said, “We have taken learnings from the print media wherein a rate card enables a uniform rate to theadvertisers and is beneficial to the advertiser as well as to the organisation. The rates though might have marginally increased because our ask has increased as we have grown and the client can get a better deal from us.”
Sharing the view of media planners on the new ad rates, Shashi Sinha, President, Lodestar, observed, “The new ad rate looks structured and, yes, the rate card on the Internet presents a lot of transparency to the system.”
“Every publication or a media house can launch a new rate card but the fact remains that no one buys on the rate card; the deals depend on what one is currently buying and the way forward. However, the effect remains to be seen,” commented Harish Shriyan, President, MediaCom.
“Some three four years ago, STAR had undertaken a similar exercise of launching new ad rates but had to discontinue it as it didn’t work out as they had expected. Having said that, this new structure as I see it is not going to make a lot of difference as there is no major deviation from the previous rate. But if it is beneficial to the clients, then well and good,” said Media Direction’s PRP Nair.
It is common for one media to borrow from the other and in this case the electronic media has learnt from print. But it will be an interesting to see if STAR sticks to its rates (with 10-15 per cent negotiation) or the old rates and relationship rule the roost again.